Moto Goldmines Confirms Randgold Approach

Moto Goldmines Limited (MGL.T), a gold exploration and development company listed on the Toronto Stock Exchange and the London Stock Exchange's Alternative Investment Market, said Friday it has received an unsolicited offer from Randgold Resources Limited (GOLD) to buy all shares of Moto by way of a proposed plan of arrangement at a price equivalent to C$5 a share.

MAIN FACTS:

-Moto are considering the offer to determine whether it is a superior offer to the plan of arrangement that has been agreed with Red Back Mining Inc. announced June 1.

-Randgold Resources announced proposal to enter into an arrangement agreement providing for Moto July 16.

-Under proposed Randgold transaction, Moto shareholders would receive 0.07061 of an ordinary share of Randgold (or, where applicable, 0.07061 of an American Depositary Share, or ADS, of Randgold) per Moto share.

-In addition, Moto shareholders would be provided the option to elect to receive (in lieu of Randgold shares or ADSs) cash of $4.47 per Moto share.

-Randgold and AngloGold Ashanti Limited (ANG.JO) have agreed to cooperate in respect of the proposed Randgold transaction. In that regard, AngloGold has agreed to fully fund the cash alternative described above in partial payment for an indirect 50% interest in Moto which it would acquire upon completion of the proposed Randgold transaction.

 
-By London Bureau, Dow Jones Newswires; Contact Ian Walker; [phone]; [e-mail]